Audit of electrical system construction projects at the Nevada Operations Office

The Nevada Test Site became the nation`s continental nuclear weapons test site on January 11, 1951. Over the years, the Nevada Operations Office (Nevada) built an extensive infrastructure to support and conduct nuclear tests at the site and in Las Vegas. Roads, housing, test towers, electrical systems, and water systems are just a few of the construction projects that have been required by the Site`s nuclear testing mission. Nuclear testing continued through 1992. A presidential decision directive issued in October that year stopped testing but required Nevada to conduct and experimental program and maintain a readiness posture to resume nuclear testing within 6 months through fiscal year 1995. The directive further required that, beginning with fiscal year 1996, Nevada maintain a 2-3 year readiness posture. This change in Nevada`s mission coupled with Department downsizing requires that only cost effective projects with defined mission needs be undertaken. Although Nevada has changed and rescoped some construction projects in response to the changing Test Site mission, there are two projects, one underway and one planned, that contain unneeded overlap of capability. Specifically, the audit identified two electrical system projects that provided unnecessary duplicate capability at a cost of about $1.35 million. Management concurred with our finding and agreed to implement the recommendation. Details of management`s comments and our response are included